Competitive Advantage/Conclusion

Competitive Advantage/Conclusion

DOI: 10.4018/978-1-4666-0240-3.ch014
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The five point Hughes Value Creation Model for Organizational Competitive Advantage or the Five Values Model draws on many fields of study including psychology, education, human resource management, human resource development, strategic technology management, management, and engineering. All of these fields intersect within the workplace, primarily through people and technology development. Understanding the links between people and technology development and value creation allows organizations to extend their competitive advantage in ways not previously considered. People and technology embody the value chain as organizations seek to succeed in a global marketplace. However, the need for this model is determined by its users since no organization is the same. This model represents a comprehensive, theoretical, yet operational model that can be used to explain and illustrate value for organizations. It is robust, clear, easy to follow, and fills organizational needs. However, the need is determined by its users since no organization is the same.
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The book is primarily focused on US organizations; however, emerging economies may be facing similar issues today. Emerging economy leaders could use this book as a learning tool, reference book, to avoid some of the issues and concerns covered within this book. Many multinational corporations have locations within emerging countries where transfer of knowledge is crucial to success. The skill set disparity across international borders is primarily why this five point model is relevant. Without assessing the supply risks, skill set needs, economy of production, time to market, and all other relevant business trends within the organization design, the organization would not be competitive. This model helps organization leaders successfully manage these types of workplace issues because these elements require effective use of people and technology for competitive advantage.

The ultimate goal of the model and this book is to provide organizations with ways to create additional value through people and technology development that results in competitive advantage. The five points of the model are perspectives, the PT model, development initiatives, the five values, and measures. The perspectives are the first part of the model and have been clearly defined. They are cognitive, cultural, and behavioral. Each organization must identify its dominant perspective and adjust its development initiatives, as needed, to ensure alignment of goals and strategies.

The second part of the model is the PT model. Understanding that the PT model is an opportunity for leaders to evaluate opportunities of equivalence that exist between people and technology is essential. All organizations have people and technology and both must be developed. Technology and Human Resource Development are two fields that are most relevant to helping organizations create value from integrating people and technology development. In some instances one has more value than the other; however, this should not devalue one in contrast to the other. The degree of difference is not as important as the blend of the two together to achieve organizational performance goals.

The third part of the model is the development initiatives. These initiatives are where the organization should attempt to align their strategies with the perspectives of the organization. The model provides examples of types of initiatives that are appropriate within each perspective. These initiatives are not limited. There may be instances where the initiatives overlap to benefit the organization. This book and the PT model should help leaders determine where value occurs with regards to people and technology development. It should help organization leaders determine the specific initiatives that are advantageous for their competitive advantage.

The fourth part of the model is the values. There are five values that are common between people and technology development. They are location, use, maintenance, modification, and time value. The values are distinct, but they do not exist independent of one another. They represent the multidimensionality of technology and people. Examples of each value are presented within the representative chapters of this book. Recognizing the commonality of people and technology may help leaders to begin to consider the value of people on the same scale that they currently value technology within the workplace.

The fifth part of the model is the measures. The measures are a combination of the five values. They can be measured individually or collectively to yield a competitive advantage for the organization. For example, time value can be measured in length of time in position, seniority of an employee with the firm; it can also be measured along with use value with regards to efficiency of employee performance. Technology’s location value can be measured in terms of capital expense to store the technology and/or purchase the technology. There is no concrete formula for the measures because each organization will be able to determine how the values are represented within their particular organization. This does not preclude researchers and practitioners from developing new measures.

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